As of the July, 2022, release via CMS

FAIRBANKS MEMORIAL

CMS id: 020012
1650 COWLES ST, FAIRBANKS AK 99701. County: FAIRBANKS NORTH STAR BOROUGH
System: --
CBSA: Fairbanks, AK

The 212-bed, acute-care hospital had $7,782,523 in net service to patients*, with a total profit margin of 8.03629% in fiscal year 2021, the latest year available.
It spent 1.15% of its operating expenses on uncompensated care and reported $4,806,614 in Medicaid shortfall.

* For more about Net Service to Patients and operating revenue, please the finance section below.

Note: Medians are from acute-care hospitals with "complete" fiscal years. For more about how we calculated medians and cost reports in general, please click here.

Details

	2017	2018	2019	2020	2021
# of days in fyear	365	365	365	366	365
Ownership	nfp	nfp	nfp	nfp	nfp
Acute beds Median	109 118	109 118	109 119.5	109 118	109 119
Total beds Median	212 162	212 162	212 162	212 162	212 163.5
FTEs Median	1,213.03 788.06	1,276.66 793.42	1,328.55 806.03	1,301.72 787.61	1,292.33 804.34

Finances As they appear in worksheet G3 of the cost reports.

Note: Net Patient Revenue is considered operating revenue, which means Net Service to Patients is considered operating profit. Click here for more about cost report financials

Hospital cost reports are an enormously complicated dataset. There are whole organizations and an offical CMS vendor dedicated to helping researchers work with the data.
It's important to understand that hospital financials in cost reports are not organized in the same as other sources such as annual financial reports to bond holders.

The biggest difference is the concept of operating revenue and profit. Net Service to patients (NS2P), which is the sum of net patient revenue minus operating expenses, is considered the equivalent of operating profit according to the Medicaid and CHIP Payment and Access Commission (MACPAC). See the last paragraph of "Primary Data Sources" on page 55 of Annual Analysis of Disproportionate Share Hospital Allotments to States (PDF).

That would make Net Patient Revenue = operating revenue.

All this makes things challenging when comparing what's reported in cost reports to other sources. It becomes clearer when you consider that, beyond the purpose of reimbursement, cost reports are a tool for policymakers trying to understand the financial situation of a hospital doing the tasks specific to hospitals.

In other words, while a facility with a division that formulates drugs might include earnings from that as operating revenue in their corporate annual result, this is not central to the operations of a hospital caring for patients and so it is counted as "other income." (See below the financials section for more on "other income")

The healthcare consulting firm HMP, in a former partnership with Modern Healthcare, did develop a formula for estimating operating revenue closer to what one might find in other sources. We no longer use this for the following reasons:

The measure was not widely used beyond HMP and Modern Healthcare. Many hospitals had their own internal estimates of operating revenue and profit.
Because of this, there was confusion when reporting operating results for individual hospitals. There was often pushback when a facility's internal numbers did not match what Modern Healthcare was reporting.
The formula includes revenue from portions of the "other income" section, which may also include non-operating revenue. HMP themselves point out in a caveat on their site that they cannot exclude all non-operating revenue from their measure.

HMP's operating measure has proven problematic in the past for our reporting and the partnership with them ended years ago. It's best to not use a measure that we alone cannot defend.

	2017	2018	2019	2020	2021
Net patient revenue ? Median	237,277,806 150,932,746	255,588,516 158,950,878	262,758,396 168,696,998	245,613,120 163,454,693	285,075,842 186,589,412
Operating expenses Median	239,349,802 149,311,209	241,332,360 156,110,414	257,881,593 164,890,568	260,239,208 166,516,854	277,293,319 180,120,888
Net income from service 2 patients (NS2P) ? Median	-2,071,996 -964,173	14,256,156 -643,601.5	4,876,803 -116,254	-14,626,088 -5,025,862	7,782,523 -1,284,564
NS2P margin ? Median	-0.87% -0.62	5.58% -0.29	1.86% 0.18	-5.95% -5.07	2.73% -0.88

Range* of Net Service to Patient (NS2P) margins

= NS2P margin for FAIRBANKS MEMORIAL compared to all** acute-care hospitals, from CMS cost reports.
Note: NS2P is considered operating margin by MACPAC. The chart below is interactive: click or touch to see more.

* Data range does not show outliers, which fall beyond the minimum and maximum of the range.
** From cost reports with complete fiscal years. Number of acute-care hospitals available to calculate medians:

2017	2018	2019	2020	2021
3,157	3,092	3,050	3,052	2,566

	2017	2018	2019	2020	2021
Other income* Median Click here to show/hide details	14,628,367 5,089,215	5,055,831 4,572,541	4,992,136 5,268,134	34,312,122 13,092,619	16,455,487 12,369,236
⊳ Line 6: Contributions ? ⊳ Median	246,726 224,999	238,116 199,009	252,387 206,870.5	178,731 194,343	1,137,946 249,496
⊳ Line 7: Investments ? ⊳ Median	0 299,524	0 188,688.5	0 370,813	0 309,361.5	0 375,329
⊳ Line 8: Revenue from telephone service	NULL	NULL	NULL	NULL	NULL
⊳ Line 9: Revenue from tv and radio	--	--	--	--	--
⊳ Line 10: Purchase discounts	0	0	0	0	0
⊳ Line 11: Rebates and refunds of expenses	0	0	0	0	0
⊳ Line 12: Parking lot receipts	0	0	0	0	0
⊳ Line 13: Revenue from laundry and linen service	0	5,175	1,617	0	1,526
⊳ Line 14: Revenue from meals sold to emplyees and guests	2,421,736	2,651,756	2,669,938	1,689,632	1,404,839
⊳ Line 15: Revenue from rental of living quarters	0	0	0	0	0
⊳ Line 16: Revenue from sale of medical and surgical supplies	9,058	6,646	4,502	5,188	8,170
⊳ Line 17: Revenue from sale of drugs to other than patients	4,169,367	545,505	463,706	166,916	1,762,171
⊳ Line 18: Revenue from sale of medical records and abstracts	33,007	30,100	19,017	8,546	9,385
⊳ Line 19: Tuition (fees, sale of textbooks, uniforms, etc.)	0	0	0	0	0
⊳ Line 20: Revenue from gifts, flowers, coffee shops, canteen	0	0	0	0	0
⊳ Line 21: Rental of vending machines	8,862	9,944	9,530	9,224	9,914
⊳ Line 22: Rental of hospital space	105,271	98,779	103,937	110,386	118,236
⊳ Line 23: Gov appropriations ? ⊳ Median	0 1,017,693	0 983,261.5	0 1,173,286	0 1,987,202	0 1,597,664
⊳ Sum Line 24	7,634,340	1,469,810	1,467,502	32,143,499	12,003,300
Total income ? Median	12,556,371 6,586,430	19,311,987 6,767,106	9,868,939 8,419,950	19,686,034 8,094,175	24,238,010 15,162,888
Non-operating expenses Median	185,265 146,289.5	299,401 164,857	443,627 89,880.5	0 106,761	6,089 31,473.5
Net income Median	12,371,106 6,043,842	19,012,586 5,845,112	9,425,312 7,606,259	19,686,034 7,283,041	24,231,921 14,957,241
Net margin Median	4.91100% 4.62%	7.29446% 4.42%	3.52018% 5.16%	7.03260% 5.2%	8.03629% 9.25%

* About "Other income": Other income, or line 25 in worksheet G3, is the sum of lines 6 through 24. It includes three lines that are considered non-operating revenue - contributions, investments and government appropriations. Medians are included for these three lines. It also contains items that are not central to providing healthcare, such as revenue from parking or gift shops.
"Sum Line 24" is a special case. Called "Other (specify)" in the cost reports, CMS allows for this line to be "subscripted," or divided into sublines like 002400, 002401, 002402. And hospitals do that, up to 100 lines, to detail income (and sometimes negative returns) that are otherwise not covered in the previous "other" lines. Therefore, "Sum Line 24" is the sum of all the lines 24.

Range* of total profit (loss) margins

= Total margin for FAIRBANKS MEMORIAL compared to all** acute-care hospitals, from CMS cost reports.
The chart below is interactive: click or touch to see more.

2017	2018	2019	2020	2021
3,157	3,092	3,050	3,052	2,566

Medicare revenue

Inpatient and outpatient revenue

	2017	2018	2019	2020	2021
All inpatient revenue Median Click here to show/hide details	29,094,198 23,241,334	30,577,085 23,709,545	27,193,258 24,248,380	26,538,400 22,858,541	32,883,592 23,620,613
"All inpatient revenue" is made up of any Medicare payments for routine inpatient, swingbed SNFs, TEFRA, IPF, IRF, inpatient long-term care, CAH and inpatient SNF facilities. Medians are only calculated when there are sufficient facilities reporting revenue.
⊳ Routine inpatient revenue ⊳ Median	28,339,513 21,577,146	29,628,551 22,041,594	26,139,357 22,722,063	25,196,004 21,570,441	31,341,141 22,140,684
⊳ Swingbeds ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Tax Equity and Fiscal Responsibility Act payments (TEFRA) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Inpatient psychiatric facility (IPF) ⊳ Median	0 1,845,420	0 1,757,392	0 1,738,842	0 1,510,463	0 1,393,140
⊳ Inpatient rehabilitation facility (IRF) ⊳ Median	0 3,535,627	0 3,746,588	0 3,782,288	0 3,865,578	0 3,983,889
⊳ Long-term care hospital (LTCH) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Critical-access hospitals ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Skilled-nursing facilities (SNF) ⊳ Median	754,685 1,203,033	948,534 1,215,295	1,053,901 1,313,657	1,342,396 1,365,298	1,542,451 1,179,746
All outpatient revenue Median Click here to show/hide details	15,506,515 11,160,864	17,363,668 11,987,345	17,208,157 12,926,866	16,250,124 11,884,480	19,725,790 13,145,163
"All outpatient revenue" is made up of any payments for routine outpatient, HHA, CMHC, rural health and other federally-qualified health clinics. Medians are only calculated when there are sufficient facilities reporting revenue.
⊳ Routine outpatient revenue ⊳ Median	14,946,446 10,918,923	16,632,004 11,706,976	16,582,225 12,615,917	15,478,735 11,458,116	18,857,256 12,776,716
⊳ Home Health agencies (HHA) ⊳ Median	560,069 1,282,808	731,664 1,407,728	625,932 1,341,512	771,389 1,407,046	868,534 1,476,867
⊳ Community mental health clinics (CMHC) ⊳ Median	0 --	0 --	0 --	0 --	0 --
⊳ Rural health clinics ⊳ Median	0 618,038	0 697,279	0 690,232	0 684,010	0 670,558
⊳ Other federally qualified health clinics ⊳ Median	0 --	0 --	0 --	0 --	0 --

Other payments

Item	2017	2018	2019	2020	2021
Graduate Medical Education (GME) Median	0 3,284,314	0 3,250,551	0 3,386,837	0 3,360,806	0 3,508,953
Disproportionate-share hospital (DSH) Median	972,722 594,888	904,435 595,761	884,570 577,894	915,421 542,168	897,044 549,667
Outlier Median	1,732,106 582,572	1,719,815 538,116	1,268,433 212,434	974,278 126,559	1,462,725 139,139

Uncompensated care

Item	2017	2018	2019	2020	2021
Medicaid shortfall Median	6,000,944 3,662,910	0 3,730,911	87,671 4,081,319	8,924,088 4,643,908	4,806,614 4,389,147
Charity care Median	1,263,464 2,654,636	1,659,120 2,940,659	1,144,907 3,380,215	981,751 3,488,738	646,416 3,233,405
Uncompensated care (UCC) Median	8,781,176 5,147,790	1,872,372 5,337,617	5,095,169 5,711,082	4,211,115 5,923,418	3,177,918 5,508,107
UCC as a % of operating expenses Median	3.67% 3.24	0.78% 3.12	1.98% 3.21	1.62% 3.3	1.15% 2.86
Total shortfall/UCC Median	14,782,120 9,489,989	1,872,372 9,424,297	5,182,840 10,120,158	13,135,203 11,171,337	7,984,532 10,133,851

Labor costs

	2017	2018	2019	2020	2021
Total salaries Median	93,098,852 52,142,039	98,781,547 54,485,252	105,494,116 57,395,589	111,502,858 58,830,919	115,297,430 61,722,907
Salaries as a % of operating expenses Median	38.90 36.68	40.93 36.56	40.91 36.37	42.85 35.93	41.58 35.24
Intern, resident salaries* Median	0 2,598,592	0 2,686,824	0 2,753,773	0 2,937,156	0 2,909,848
Contract intern, resident salaries* Median	0 1,251,927	0 1,186,494	0 1,204,885	0 1,279,653	0 1,469,317
Contract adjusted salaries, direct-care Median	9,258,260 1,449,244	6,103,764 1,475,986	7,424,304 1,563,078	7,285,385 1,721,954	9,664,253 2,991,828
Contract hours, direct-care Median	106,463.00 22,725	77,779.00 23,018.5	90,772.00 24,503.48	96,187.00 25,026.5	98,691.00 33,786
Contract wages, direct-care Median	86.96 64.67	78.48 64.53	81.79 65.06	75.74 68.97	97.92 88.94

* in an approved program

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Cost reports are self-reported by the facility, are subject to revision and should be considered preliminary.

* Net Service to patients (NS2P) equals net patient revenue minus operating expenses. NS2P is considered the equivalent of operating profit according to the Medicaid and CHIP Payment and Access Commission (MACPAC). See the last paragraph of "Primary Data Sources" on page 55 of Annual Analysis of Disproportionate Share Hospital Allotments to States (PDF).

About medians

Medians are calculated from reports with "complete" fiscal years, or reports with fiscal years of at least 300 days and no more than 420 days.

In cases where there are fewer than 50 values reported, medians are not calculated. For childrens' hospitals, it's when fewer than 20 are reported.

Web app by Tim Broderick | email.